The on-resistance of a semiconductor device having a power transistor with a trench gate structure is reduced. A power MIS-FET with a trench gate structure is so formed that the relation expressed as 0≦b≦a holds, where a is the distance between an end of an interlayer insulating layer over the upper face of a semiconductor region for source and the end (position on the periphery of a trench) of the upper face of the semiconductor region for source farther from the gate electrode; and b is the length of the overlap between the interlayer insulating layer and the upper face of the semiconductor region for source. (b is the distance between the position of the end of the interlayer insulating layer over the upper face of the semiconductor region for source and position on the periphery of a trench). As a result, the area of contact between source pads and the semiconductor regions for source is increased, and further the distance between the source pads and a channel forming region can be shortened. Therefore, the on-resistance of the power MIS-FET with a trench gate structure can be reduced.